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Polish cement industry cartel- preliminary examination of collusion existence

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  • Bejger, Sylwester

Abstract

The paper is devoted to a case of a cartel in Polish cement industry. Short description of the industry and characteristics of the cartel with its fundamental illegal practices, market sharing and price fixing have been done. We focused on examination of possibility of detection of a cartellike behavior of players in an industry on a basis of cartel markers’ evaluation, using statistical data we can actually obtain. On a basis of examination of market shares of players and price/supply processes we found distinctive, theoretically motivated patterns characteristic for collusive equilibrium in an industry.

Suggested Citation

  • Bejger, Sylwester, 2011. "Polish cement industry cartel- preliminary examination of collusion existence," Business and Economic Horizons (BEH), Prague Development Center (PRADEC), vol. 0(Issue 1), pages 1-20, January.
  • Handle: RePEc:ags:pdcbeh:204188
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    File URL: http://ageconsearch.umn.edu/record/204188/files/201103201502_08_BEH_Vol4_POLAND_Bejger_Sylwester_Cement_Industry_Cartel.pdf
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    References listed on IDEAS

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    1. Rodrigo Zeidan & Marcelo Resende, 2009. "Measuring Market Conduct in the Brazilian Cement Industry: A Dynamic Econometric Investigation," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 34(3), pages 231-244, May.
    2. Andrew N. Kleit & Halldor P. Palsson, 1996. "Is There Anti-competitive Behaviour in the Central Canadian Cement Industry? Testing Arbitrage Cost Hypotheses," Canadian Journal of Economics, Canadian Economics Association, vol. 29(2), pages 343-356, May.
    3. John Connor & C. Gustav Helmers, 2006. "Statistics On Modern Private International Cartels, 1990-2005," Working Papers 06-11, Purdue University, College of Agriculture, Department of Agricultural Economics.
    4. Korbinian Blanckenburg & Alexander Geist, 2009. "How Can a Cartel Be Detected?," International Advances in Economic Research, Springer;International Atlantic Economic Society, vol. 15(4), pages 421-436, November.
    5. de Roos, Nicolas, 2004. "A model of collusion timing," International Journal of Industrial Organization, Elsevier, vol. 22(3), pages 351-387, March.
    6. Christian Lorenz, 2008. "Screening markets for cartel detection: collusive markers in the CFD cartel-audit," European Journal of Law and Economics, Springer, vol. 26(2), pages 213-232, October.
    7. Joseph E. Harrington, Jr, 2006. "How Do Cartels Operate?," Economics Working Paper Archive 531, The Johns Hopkins University,Department of Economics.
    8. Richard Ericson & Ariel Pakes, 1995. "Markov-Perfect Industry Dynamics: A Framework for Empirical Work," Review of Economic Studies, Oxford University Press, vol. 62(1), pages 53-82.
    9. Lars-Hendrik Röller & Frode Steen, 2006. "On the Workings of a Cartel: Evidence from the Norwegian Cement Industry," American Economic Review, American Economic Association, vol. 96(1), pages 321-338, March.
    10. Harrington, Joseph E., 2006. "How Do Cartels Operate?," Foundations and Trends(R) in Microeconomics, now publishers, vol. 2(1), pages 1-105, August.
    11. Connor, John M. & Helmers, Claes Gustav, 2006. "Statistics On Modern Private International Cartels, 1990-2005," Staff Papers 28650, Purdue University, Department of Agricultural Economics.
    12. repec:kap:iaecre:v:15:y:2009:i:4:p:421-436 is not listed on IDEAS
    13. Rosenbaum, David I. & Sukharomana, Supachat, 2001. "Oligopolistic pricing over the deterministic market demand cycle: some evidence from the US Portland cement industry," International Journal of Industrial Organization, Elsevier, vol. 19(6), pages 863-884, May.
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    Cited by:

    1. Hunold, Matthias & Hüschelrath, Kai & Laitenberger, Ulrich & Muthers, Johannes, 2017. "Competition, collusion and spatial sales patterns: Theory and evidence," ZEW Discussion Papers 17-035, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
    2. repec:eee:riibaf:v:42:y:2017:i:c:p:745-768 is not listed on IDEAS

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    Keywords

    Industrial Organization;

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